"We have been in discussions with HPCL but nothing has been finalised so far. Since their Vizag refinery has a requirement for gas, it is good for them if they buy stake and it will be good for us as well as it will give us an anchor customer," he said.

Petronet plans to build its first terminal on the east coast through a subsidiary in which it wants to retain a minimum 51 per cent stake.

"Eight per cent stake has already been taken by Gangaravam Port and we are willing to take strategic partners," he said.

Petronet is looking for strategic partners that can either bring in gas turned into liquid at minus 160 degrees Celsius (liquefied natural gas or LNG) or buy a minimum quantity of the imported fuel to be sold in the domestic market.

The company received final approval from its board of directors last year to build a third LNG terminal at Gangavaram, the first on